The CEO of Flair Airlines is rejecting the notion the low-cost carrier could lose its licence to fly in Canada.
Stephen Jones addressed the media Thursday as the airline works to reduce foreign influence on the company and reshape its board to have more Canadians.
The Canadian Transportation Agency is currently reviewing the airline's licence after a preliminary finding in March by the CTA said that the airline might not meet Canadian ownership requirements to fly in the country.
The CTA also said Flair’s Miami-based business partner, 777 Partners, might have "control in fact" over the airline, which would violate rules under the Canada Transportation Act.
In order to be a licensed domestic airline, the company must be incorporated in Canada and at least 51 per cent of voting interests must be owned and controlled by Canadians. Jones says 58 per cent of the voting shares in Flair are owned by Canadians.
Flair has until May 3 to respond to the CTA’s concerns, or it risks having its licence suspended.
Jones says Flair Airlines is here to stay and Canadians can continue to book with confidence.
"The May 3 deadline that's been widely reported in the media is not a drop dead date," he says. "May 3 is simply the date that Flair needs to respond to the CTA on the concerns that they've raised in their preliminary determination. There is zero chance that Flair will lose its licence on May 3."
On April 5, Flair announced plans to operate three flights out of Windsor Airport later this year, flying to Montreal, Halifax and Tucson, Arizona.
Jones says Flair is Canada's third-largest airline and it exists to bring affordable travel to all Canadians.
"For too long Canadian aviation has been dominated by two carriers. As a result of that duopoly, Canadians have been paying too much for air travel, everyone on this call knows that but it shouldn't be a fact of life. It should not cost $800 to find one-way on a two-hour flight in Canada," he says.
The airline has applied to the transport minister for an 18-month exemption to the rules while it fixes a few outstanding issues.
A statement from the National Airlines Council of Canada, which represents large carriers such as Air Canada, Air Transat and WestJet, and the Air Transport Association of Canada, another group representing airlines of all sizes in the country, has called on the minister to reject the exemption.
Jones says Air Canada and West Jet control the National Airlines Council of Canada, calling it a puppet organization.
"These guys have been ripping off the Canadian public for decades, you all know it. When I go out and talk to people, everyone is complaining about the duopoly. So don't be surprised if they get defensive when a company that's generally efficient at providing low-cost air fares comes into the market. It's a threat to their existence," he adds.